In a strategic move to strengthen its footprint in Western Canada’s commercial real estate market, Oxford Properties Group has acquired Canada Pension Plan Investments’ (CPP Investments) stake in a major office portfolio located across key cities in the region.
The transaction, announced this week, signals Oxford’s continued confidence in the long-term value of office real estate in select Canadian markets, despite ongoing shifts in workplace dynamics and hybrid work models. While financial terms of the deal were not publicly disclosed, the portfolio includes several high-profile office assets in Vancouver, Calgary, and Edmonton — cities that remain important hubs for energy, finance, and tech sectors.
“This acquisition aligns with Oxford’s long-term investment strategy of owning and operating high-quality assets in key urban markets,” said Michael Turner, President of Oxford Properties. “We remain optimistic about the evolving role of office space, especially in buildings that offer top-tier amenities, strong ESG performance, and strategic locations.”
CPP Investments, which had co-owned the properties with Oxford through a joint venture, noted that the sale is part of its routine portfolio rebalancing. The pension fund manager emphasized that it continues to see value in Canadian real estate but is focusing its efforts on diversification across sectors and geographies.
Oxford Properties, which is owned by OMERS (Ontario Municipal Employees Retirement System), has been steadily growing its commercial real estate holdings globally, with assets under management spanning North America, Europe, and Asia-Pacific. This latest acquisition reinforces the company’s commitment to Canada’s core markets, even as it expands its global footprint.
Real estate analysts see the deal as a vote of confidence in Western Canada’s top office markets, particularly Vancouver, where office vacancies remain lower compared to other North American cities, and demand for premium workspace continues.
“This move reflects a strategic bet on high-performing urban centers in Western Canada,” said Lisa Cheng, a real estate investment advisor at UrbanCore Analytics. “Oxford likely sees upside in stabilizing rents and long-term tenant retention, especially in newer or recently upgraded buildings.”
The office sector in Canada has faced challenges in recent years, driven by remote work trends and evolving tenant expectations. However, institutional investors like Oxford continue to seek opportunities in well-located properties that demonstrate resilience and adaptability.
With this acquisition, Oxford not only consolidates its ownership of key assets but also positions itself to lead any future redevelopment or repositioning efforts that may be needed to meet the changing needs of tenants in the post-pandemic era.
The transaction is expected to close in the coming months, pending customary regulatory approvals.
Swifteradio.com
